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VALEANT PHARMACEUTICALS INTL INC T.VRX

"Valeant Pharmaceuticals is a global specialty pharmaceutical firm with a focus on branded products for the dermatology, gastrointestinal, and ophthalmology markets. The firm also has a branded generics business that operates primarily in Latin America, Eastern Europe, and Asia."


TSX:VRX - Post by User

Post by PROtradingon Mar 18, 2016 1:15pm
65 Views
Post# 24675783

What's happening here on the trade.....

What's happening here on the trade.....

You have the pilots navigating the plane, hits turbulence. 

Short sellers rush in and sell at the right time (questionable practice, government scrutiny, etc), causing panic, they short sell the stock.  For the novices (most readers of these bullboards!), that means shorts borrow stock they don't have to sell.

That selling creates a downward pressure, as it hits "stop loses" stocks are automatically sold.  As the CEO found out on the last leg of the attack it seems.

Short sellers and ATS and Algo trading takes is down as much as possible.  Their aim $0.  That way, they don't have repay the loans.

Guys like me are contra traders.  We know the games, we see them.

We frontrun short seller buying buy trying to pick up shares near the lows.   That's the key word here.  Nobody can determine where the absolute lows are but at some point the panic selling loved and encouraged by short sellers ends. 

I started a tiny position a few days ago and I'm buying knowing full well we could see lower.

If you understand the games played, there's zero panic.

The short sellers are the ones sweating right now.  The last thing they want is mass buying by institutions but they also know that those traders also use machines and algos to trade.

Little retail traders like me can swim with the sharks and as long as the sharks aren't criminals, we're ok.  We're fine with crooks. CrookStreet is filled with them.

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